LOS GATOS, Calif. – June 23, 2014 – Luxury home sales and prices in Silicon Valley continued to climb in May with sales up nearly 16 percent from a year ago and the median price up nearly 8 percent, according to a new report by Coldwell Banker Residential Brokerage, the South Bay’s leading provider of real estate services.
The figures are based on Multiple Listing Service data of all homes sold for more than $1.5 million last month in Santa Clara County.
A total of 220 luxury homes sold in May, up from 190 sales in May 2013, an increase of 15.8 percent. Luxury sales last month did fall short of their peak level in April when 234 homes changed hands.
Meanwhile, the median sale price of a luxury home in Silicon Valley last month climbed 7.9 percent from a year ago to reach $2,105,000. Prices were also up 2.7 percent from April’s level of $2,049,000.
Once again, the upper end of Silicon Valley’s luxury market was by far the strongest segment in May with 121 sales over $2 million, up 31.5 percent from a year ago, and 36 sales over $3 million, up 24 percent from May 2013.
Other key luxury market indicators improved last month from year-ago levels with homes selling faster on average and sellers receiving a higher percentage of their asking price on average.
“While sales overall in the market have leveled off somewhat, primarily because of the limited inventory of homes on the market, the luxury end of Silicon Valley’s housing market really is showing no signs of cooling off,” said Mike James, president of Coldwell Banker Residential Brokerage.
“The demand for high-end homes remains extremely strong, and the recent high-tech company public offerings and acquisitions are creating more wealthy buyers all the time,” he said. “The issue really comes down to having enough listings to meet the demand, but hopefully we’ll see more inventory come on the market as we head through the summer home buying season.”
Some key findings from this month’s Coldwell Banker Residential Brokerage luxury report:
- o The most expensive sale in Silicon Valley last month was a five-bedroom, seven-bath approximately 5,200-square-foot home in Palo Alto that sold for $15 million;
- o Los Altos boasted the most luxury sales with 47, followed by Palo Alto with 45, San Jose with 27, Saratoga with 24, and Los Gatos and Cupertino with 21 each;
- o Homes sold in an average of 19.3 days on the market, down from 27 days a year ago and 19.6 days the previous month;
- o Sellers received an average of 109 percent of their asking price, up from 105 percent a year ago but down slights from 110 percent the previous month.
The Silicon Valley Luxury Housing Market Report is a monthly report by Coldwell Banker Residential Brokerage, a specialist in high-end real estate sales. Through its internationally renowned Coldwell Banker Previews® program, Coldwell Banker is recognized around the world for its expertise in the luxury housing market.
Coldwell Banker Residential Brokerage serves Santa Clara County with 21 offices from Palo Alto to Hollister. For more information, please call 925.771.5285.
About Coldwell Banker Residential Brokerage
Coldwell Banker Residential Brokerage is the largest residential real estate brokerage in Northern California and serves the markets from Monterey to Tahoe and nearly every market in between. The company has 61 office locations and more than 3,900 sales associates throughout Northern California. Last year the company handled 13.5% of all dollar volume sold in Northern California, more than double its nearest competitor. Through its internationally renowned Coldwell Banker Previews® program, Coldwell Banker leads the luxury home market in Northern California, representing more than 22% of all dollar volume sold of properties over $1 million. A subsidiary of Realogy Holdings Corp. (NYSE: RLGY), NRT operates Realogy’s company-owned real estate brokerage offices. For more information please visit www.CaliforniaMoves.com or call 925.771.5285. CalBRE #01908304.
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